What Constitutes a Credit Report?
There are a lot of rumors flying around regarding what can and cannot be considered in, and listed on, a credit report, and part of our job at Quality Credit Repair is to help you sort out fact from fiction. Along with helping to improve our clients’ credit scores, we also make sure to provide a comprehensive education on how the credit system works, in order to help you better prepare for a healthy financial future.
Let’s start with what information about your financial history a credit report must include, a considerably shorter list than things that cannot be noted.
Voluntary closure of an account. If a credit line has been listed on your credit report and you have voluntarily closed it, this information will be listed.
Chapter of bankruptcy. If you file for bankruptcy, this information will be listed on your credit report along with the particular chapter listed. If you withdraw your bankruptcy case prior to judgement, your withdrawal (and thus the initial filing) will still be reported.
Credit information disputes. If you dispute any aspect of your credit history or report, that dispute will be visible – even if you did not win your case, and the information is still listed on your credit report. If you do win, however, the dispute will not be listed on your credit report.
Reasoning behind credit scores or risk measurements. Any factor that negatively impacts your credit score must be outlined.
As you may be able to tell, the list of things that absolutely must be included on a credit score is minimal. There are plenty of other aspects to a credit report that cannot be included in a consumer reporting agency’s report, unless the report is for a major loan or life insurance agreement that includes amounts of $150,000 or more. Jobs with salaries larger than $75,000 may also be exempt, and in such cases will have exemplary access to these rules.
Certain bankruptcy cases. Title 11 bankruptcy cases or those which took place over 10 years before the report cannot be listed.
Legal issues such as civil judgements, civil suits, or arrest records occurring more than SEVEN years before the credit report; this may be dependent on other factors, as well.
Adverse items of information, except crime convictions, that predate the report by more than seven years.
Tax liens that were paid more than seven years before the report, measured from date of payment.
Several other items that cannot be included on a credit report include information related to insurance payments, medical information furnishers, and other information that will be provided to insurance companies “for a purpose relating to engaging in the business of insurance, other than property and casualty insurance.”
Confused? Don’t be! At Quality Credit Repair we sit down with our clients to explain what seem to be complicated, dense pieces of legalese, in terms that make sense and help you understand how your credit score can affect you. For this and other services from us, don’t hesitate – contact us today for a free quote!